403(b) and Roth Conversion

What are the simple rules concerning converting money from a 403(b) to a Roth IRA? Is it even possible?



Yes, this can be done directly without first rolling the funds to a traditional IRA. The rest of the rules are basically the same as for converting from a TIRA to a Roth IRA. For 2010 conversions, the income can be reported in 2011 and 2012. If the conversion is later recharacterized, the funds will have to be sent to a traditional IRA, they cannot go back to the 403b.



Add new comment

Log in or register to post comments